DYL - Deep Yellow
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hitmanlam said:
Good company, but the valuation is a bit rich comparing others. I decided to take the advantage of two days rally. I have a little doubt about the latest purchase can boost the valuation of DYL by near 50% although I have to admit I only read the headline.
Kennas and friends, where can this head to??
Small retracement happening now but someone has been soaking, fund managers must be getting in.
I think if it break 61 will head much much higher as it has serious momentum now and media coverage.
I bought back in at 39 cents 3 weeks previous, glad I did as this stock is my winning ticket to charlie and the chocolate factory!!
Just cannot see it stopping now.
Small retracement happening now but someone has been soaking, fund managers must be getting in.
I think if it break 61 will head much much higher as it has serious momentum now and media coverage.
I bought back in at 39 cents 3 weeks previous, glad I did as this stock is my winning ticket to charlie and the chocolate factory!!
Just cannot see it stopping now.
hitmanlam said:
When you take into account the last ten hours of trading on DYL you will soon understand that somebody is soaking up big time.
Wednesday 12:00 - 16:15 roughly 20million traded and soaked up at 55/55.5 cents.
Thursday 10:23 - 16:15 roughly 21million traded and soaked up at 53/53.5/54 all day. I have been refreshing my screen for the past 10 hours on DYL every 3 seconds so I have been watching very closely.
Good luck to those whom want in lower!! Somebody is accumulating without doubt. Yesterdays 21 million soaking up on a very bad asx day gives the big thumbs up for me. More Substantial buyers to hit the registry IMO and I believe existing shareholders as me have very sticky hands and wont let go!!
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Having a good day so far, back above 50cps.
Seems to be a lot of support on it lately.
Anyone know why?
Seems to be a lot of support on it lately.
Anyone know why?
Sean K
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MalteseBull said:
It's currently at $0.49, and has been down 4 of the last 5 trading days since breaking out at about $0.40. It's now about 20% off it's peak from that breakout. MACD converging and falling over. Support?
Sean K
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Stock absolutely crushed. OUCH! Now thats gotta hurt. Got in at 50c. Thought it'd bounce back. Dunno what to do now. Hmmm. Y_T or kennas, is this the correct calc of the EV lbs of this stock?
18000 t Nambia + 6000 t Napperby = 24000t * 2200 = 53mil lbs
Market Cap. Around $500mil
EV = $9.40/lb. hmmmmm.........
18000 t Nambia + 6000 t Napperby = 24000t * 2200 = 53mil lbs
Market Cap. Around $500mil
EV = $9.40/lb. hmmmmm.........
hitmanlam said:
Try this as a calculation from another technical discussion forum by a poster:
As at Jan 2007 Paladins overall uranium reserves totalled 97,000tonnes with average grades of above .08% giving PDN a current market price of between $8.00 to $9.00
The above may be a useful guide in calculating what youre current Uranium stock may (could) well be worth ** bear in mind a large proportion of there resources are in Uranium friendly Africa and as we all know are now producing
Using the above tonnage and share price of $8.50 my formula (guide only) would be 850cents divided by 97(97,000t) 850/97 would equate to approx 8.76 cents per tonne. If one puts the same formula on DEEP YELLOWS Raptor Tenements of 18,000 tonnes (could well double/triple its resource on further drilling as did Paladin) and gets itself into production its value along with its future known/unknown(to be drilled!!!!) Australian resources of absolute minimum 15,000tonne total ( Matrix metals J/V and recently acquirred Superior uranium Mt. Isa Tenements, Napperby, Tanami, Siccus, Western Gawler, Ponton North, and there Anketell Tenenents ) of approx 33,000tonne puts DYL share price to around *** $2.89 *** VERY CONSERVATIVE *** on a mere hint of being a producer.
Sean K
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Hitman, Jemma,jemma said:Try this as a calculation from another technical discussion forum by a poster:
As at Jan 2007 Paladins overall uranium reserves totalled 97,000tonnes with average grades of above .08% giving PDN a current market price of between $8.00 to $9.00
The above may be a useful guide in calculating what youre current Uranium stock may (could) well be worth ** bear in mind a large proportion of there resources are in Uranium friendly Africa and as we all know are now producing
Using the above tonnage and share price of $8.50 my formula (guide only) would be 850cents divided by 97(97,000t) 850/97 would equate to approx 8.76 cents per tonne. If one puts the same formula on DEEP YELLOWS Raptor Tenements of 18,000 tonnes (could well double/triple its resource on further drilling as did Paladin) and gets itself into production its value along with its future known/unknown(to be drilled!!!!) Australian resources of absolute minimum 15,000tonne total ( Matrix metals J/V and recently acquirred Superior uranium Mt. Isa Tenements, Napperby, Tanami, Siccus, Western Gawler, Ponton North, and there Anketell Tenenents ) of approx 33,000tonne puts DYL share price to around *** $2.89 *** VERY CONSERVATIVE *** on a mere hint of being a producer.
You can do your own analysis of this but my first concern (will move on to others if required) is the projects highlighted give an estimate of 33,000 tns of uranium. About 72.5m lbs. That is extremely talanted. I don't think any of these projects have a JORC yet, so how can we possibly get this sort of figure? Really......Jemma, this is an unashamable ramp by your technical forum poster. Very happy for you to analyse all these projects yourself to verify.
jemma said:Try this as a calculation from another technical discussion forum by a poster:
As at Jan 2007 Paladins overall uranium reserves totalled 97,000tonnes with average grades of above .08% giving PDN a current market price of between $8.00 to $9.00
The above may be a useful guide in calculating what youre current Uranium stock may (could) well be worth ** bear in mind a large proportion of there resources are in Uranium friendly Africa and as we all know are now producing
Using the above tonnage and share price of $8.50 my formula (guide only) would be 850cents divided by 97(97,000t) 850/97 would equate to approx 8.76 cents per tonne. If one puts the same formula on DEEP YELLOWS Raptor Tenements of 18,000 tonnes (could well double/triple its resource on further drilling as did Paladin) and gets itself into production its value along with its future known/unknown(to be drilled!!!!) Australian resources of absolute minimum 15,000tonne total ( Matrix metals J/V and recently acquirred Superior uranium Mt. Isa Tenements, Napperby, Tanami, Siccus, Western Gawler, Ponton North, and there Anketell Tenenents ) of approx 33,000tonne puts DYL share price to around *** $2.89 *** VERY CONSERVATIVE *** on a mere hint of being a producer.
Jemma. Should you not divide the market cap by the lb, not the share price by the lb. MTN for example has a higher share price than DYL. MTN is $1.80 compared to DYL's $0.50. However, DYL's market cap is $500mil!!!!! compared to MTN's $100mil. Value of the firm is the market cap, NOT the share price.
btw Jemma. I maybe a newbie but im not an idiot.
Sean K
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Hi Hitman,hitmanlam said:
This is not my specialty and it's something I need to work on. I will try and help out in this area though. Perhaps together we can make some sence of it. One thing that is very difficult with DYL at the moment is exactly how much uranium they have and might have.
Napperby is curently only 1.5m lbs JORC on a small part of the tennament - the rest is extrapolation and speculation. (DYL state that they are confident to have somewhere between 5700 and 6200 tns - but this is not JORC). There is no doubt that some of the grades they have from here are very good but only 1-3m thickness. Who knows what this will turn out to be. Could be ANYTHING. Could be a world class deposit, but putting a valuation on it right now is futile.
Namibia historical driling is 39.6m lbs, which has great potential. Maybe there will be a larger deposit there?? Should also add that this estimate is over 5 EPLs before JORC code was implimented. So also, up for argument.
The tennaments around Mt Isa are very prospective, but again, who knows what they will find? No results.
One thing that I really like with this company is their link in with Paladin. But how do you put a price on that?
You are very right in questioning the market cap of DYL compared to many of it's peers who actually have larger resources already JORCed. SMM comes to mind.
There must be an element of Blu Sky factored into this at the moment - the 'potential' that is not yet confirmed. This reminds me a great deal of the dot com boom when companies were being rated on what they 'might' become. Care is required when investing in these companies.
Overall, outstanding 'potential' and every investor must come into this with a fresh and open mind, ready to accept that nothing is ever a certainty. People who calculate that this may be a major company in the future and get in on the ground may be handsomly rewarded. Larger risks = larger rewards. However, there is a chance that you will lose your money too, as is the case with every investment.
So, is $0.50 a fair price at the moment to be getting into DYL? It's abosolutely impossible to say IMO. It might be worth 20 cents, or it could be 4 bucks. We don't have the information to make a call on it IMO.
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At a SP of 50c the Mkt Cap is around $450mil fully diluted and has around $26mil in cash after the rights issue.
I havnt researched into DYL's uranium assets in namibia too heavily but I know they do have 18,000 tonnes. Isnt their non jorc resource over a huge area of land. It sounds great but they need enough tonnage within a concentrated area of land to have an economically viable deposit.
Here is the map tenements in Namibia. The tenements cover 2,622 km² of ground. You will notice the tenements starts around 10-20km away from PDN's Langer Heinrich mine (top right corner). I think what what most investors are most excited about is relationship or POTENTIAL relationship with PDN. How close the tenements are to PDN's mine combined with the 11% the PDN owns of DYL has got investors thinking that a JV is on the cards. (which i doubt will happen).
What i think can potentially be the BIGGEST UPSIDE POTENTIAL to DYL is this Namibia tenement. It has the location, location, location and and has the history of 1970’s drilled resources totalling 18,000 tonnes (39.6mil lbs) of U3O8. PLEASE NOTE THAT THIS IS NOT JORC!!!
The resources of 18000 tonnes U308 are based on data and reports obtained and prepared by the previous operators, as provided to the South African Nuclear Energy Corporation and the Namibian Ministry of Mines and Energy. DYL will complete the work necessary to independently verify the
classification of the mineral resource estimates and is not treating the mineral resource estimates as JORC defined resources verified by a qualified person.
DYL will probably continue to drill and aim to get a JORC out with the aim to get the resource inferred and then later on indicated, then measured.
I think the biggest potential for DYL has to do mainly with Namibia. Napperby, NT has only got a medium-small potential resource of 6000 tonnes (13.2mil lbs) U308. I don't think there will be much more upside to Napperby cause the company has suggest that they think this is the most likely size of the JORC. (no upgrade/change in resource size).
The tennaments around Mt Isa are very prospective, but no results there yet. No value can be placed on it, maybe 2c per share for the land!
The conclusions? Namibia is THE KEY to DYL's success. If they can get a JORC close to around 18000 tonnes (39.6mil) or above (18000 tonnes would be a good result imo.), this will push the share price up. Add with the potential relationship between DYL & PDN cause of their location (around 10-20km), DYL & PDN JV or the more likely situation, an agreement between the 2 for a certain % in profit and share the factory, transportation & equipment etc and maybe help it get into production quicker.
Potential JORC - Napperby = 6000t (13.2mil/lbs), Potential of Namibia = 18000 tonnes (39.6mil) EV of Mkt Cap = $450mil / 54mil lbs U308 = $8.33/lb
Not that great. But similar to some higher EV U stocks like NEL.
Key for DYL: They must get the JORC out for Namibia
Potential upside: Synergies between PDN & DYL.
What i think can potentially be the BIGGEST UPSIDE POTENTIAL to DYL is this Namibia tenement. It has the location, location, location and and has the history of 1970’s drilled resources totalling 18,000 tonnes (39.6mil lbs) of U3O8. PLEASE NOTE THAT THIS IS NOT JORC!!!
The resources of 18000 tonnes U308 are based on data and reports obtained and prepared by the previous operators, as provided to the South African Nuclear Energy Corporation and the Namibian Ministry of Mines and Energy. DYL will complete the work necessary to independently verify the
classification of the mineral resource estimates and is not treating the mineral resource estimates as JORC defined resources verified by a qualified person.
DYL will probably continue to drill and aim to get a JORC out with the aim to get the resource inferred and then later on indicated, then measured.
I think the biggest potential for DYL has to do mainly with Namibia. Napperby, NT has only got a medium-small potential resource of 6000 tonnes (13.2mil lbs) U308. I don't think there will be much more upside to Napperby cause the company has suggest that they think this is the most likely size of the JORC. (no upgrade/change in resource size).
The tennaments around Mt Isa are very prospective, but no results there yet. No value can be placed on it, maybe 2c per share for the land!
The conclusions? Namibia is THE KEY to DYL's success. If they can get a JORC close to around 18000 tonnes (39.6mil) or above (18000 tonnes would be a good result imo.), this will push the share price up. Add with the potential relationship between DYL & PDN cause of their location (around 10-20km), DYL & PDN JV or the more likely situation, an agreement between the 2 for a certain % in profit and share the factory, transportation & equipment etc and maybe help it get into production quicker.
Potential JORC - Napperby = 6000t (13.2mil/lbs), Potential of Namibia = 18000 tonnes (39.6mil) EV of Mkt Cap = $450mil / 54mil lbs U308 = $8.33/lb
Not that great. But similar to some higher EV U stocks like NEL.
Key for DYL: They must get the JORC out for Namibia
Potential upside: Synergies between PDN & DYL.
